Information from IRS
You need to report any gambling winnings as income on your tax return. If you have gambling losses, you will need to itemize the losses up to the amount of your winnings.
- Gambling income. Income from gambling includes winnings from the lottery, horse racing and casinos — plus cash and non-cash prizes. Report the fair market value of non-cash prizes (cars and trips).
- Payer tax form. If you win, the payer may give you a Form W-2G, Certain Gambling Winnings and the payer will also send a copy of the W-2G to the IRS. And you will get a Form W-2G if the payer must withhold income tax from your winnings.
- How to report winnings. Report all your gambling winnings as income.
- How to deduct losses. Deduct your gambling losses on Schedule A, Itemized Deductions. The total you can deduct is limited to the amount of the gambling income you report on your return.
- Keep gambling receipts. Remember to keep records of your wins and losses —keep a gambling log or diary, hold on to receipts, statements or tickets.
Winnings or losses, we are here to explain the process for reporting to the IRS.
